Stephan,
If you think the US will print copious amounts of money to avert a deep recession, that 50% of your portfolio in GRZZX and BEARX (both denominated in dollars) will be toast as the dollar devaluates! BTW, those two funds have expense ratios that are 10 times higher than those of low-cost funds such as those run by Vanguard. VERY expensive funds, and, even worse, denominated in dollars.
As for Au (gold, that is) your other 50%, it has more than doubled in five years. It may be argued that the same excess liquidity that doubled house prices in the US has caused the doubling in gold. Could there be a dotcom-like or RE-like bubble in gold? It’s now a bit over $600, but if you expect lots of money printing and dollar devaluation, and $1000 gold, then you should probably be upwards of 75% in gold.
Thanks for your posting. Whether one agrees with it or not, it is well thought out and thought provoking.
